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© Prentice Hall, 200 7 Excellence in Business, 3e Chapter 8 - 1 We’re All in This We’re All in This Together: Organization Together: Organization and Teamwork and Teamwork

© Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

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Page 1: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 1

We’re All in This We’re All in This Together: Organization Together: Organization

and Teamworkand Teamwork

Page 2: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 2

Effective Organization Effective Organization StructureStructure

• Divide responsibilities

• Distribute authority

• Coordinate and control work

• Promote accountability

Page 3: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 3

Organization ChartOrganization Chart

• Formal organization

• Informal organization

Page 4: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 4

Identifying Identifying Job ResponsibilitiesJob Responsibilities

• Work specialization

– Advantages

• Efficiency

• Productivity

– Disadvantages

• Boredom

• Alienation

Page 5: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 5

Chain of CommandChain of Command

• Responsibility

• Accountability

• Authority

• Delegation

Page 6: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 6

Simplified Line-and-Staff Simplified Line-and-Staff StructureStructure

• Chain of command

– Line organization

– Line-and-staff organization

Page 7: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 7

Span of ManagementSpan of Management

• Flat organizations

• Tall organizations

Page 8: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 8

Decision-Making Decision-Making AuthorityAuthority

• Centralized

– Top-level management

• Decentralized

– Lower-level management

Page 9: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 9

Organizing the Organizing the WorkforceWorkforce

• Departmentalization

– Function

– Division

– Network

– Matrix

– Hybrid

Page 10: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 10

Functional StructuresFunctional Structures

• Skills

• Resource use

• Expertise

Page 11: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 11

Departmentalization Departmentalization by Functionby Function

DisadvantagesDisadvantages

•Departmental BarriersDepartmental Barriers

•Slow Response TimeSlow Response Time

•Ineffective PlanningIneffective Planning

•OverspecializationOverspecialization

AdvantagesAdvantages

•Resource AllocationResource Allocation

•Unified DirectionUnified Direction

•Improved CoordinationImproved Coordination

•Better CommunicationBetter Communication

Page 12: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 12

Divisional StructuresDivisional Structures

• Products

• Processes

• Geography

• Customers

Page 13: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 13

DepartmentalizationDepartmentalizationby Divisionsby Divisions

AdvantagesAdvantages DisadvantagesDisadvantages

FlexibilityFlexibility

Better ServiceBetter Service

Management FocusManagement Focus

Wasting ResourcesWasting Resources

Poor CoordinationPoor Coordination

Divisional CompetitionDivisional Competition

Page 14: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 14

Departmentalization by Departmentalization by MatrixMatrix

• Advantages

– Skills and expertise

– Resource use

• Disadvantages

– Reporting issues

– Authority issues

– Interpersonal conflicts

Page 15: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 15

Departmentalization by Departmentalization by NetworkNetwork

• Advantages– Lower costs– Increased flexibility– More competitiveness

• Disadvantages– Lower control– Increased vulnerability– Less distinctiveness

Page 16: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 16

Hybrid StructureHybrid Structure

• Functions

• Divisions

• Network

• Matrix

Page 17: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 17

Comparing Work Groups Comparing Work Groups and Work Teamsand Work Teams

• Goals

• Synergy

• Responsibility

• Skills

Page 18: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 18

Workplace TeamsWorkplace Teams

• Problem-solving

• Self-managed

• Functional

Page 19: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 19

Cross-Functional TeamsCross-Functional Teams

• Task forces

• Special-purpose

• Committees

Page 20: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 20

Virtual TeamsVirtual Teams

• Maximize diversity

• Employ technology

• Promote teamwork

Page 21: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 21

Working In TeamsWorking In Teams

Opportunities Challenges

Higher-quality decisions

Increased commitment

Lower stress levels

Less internal competition

Improved flexibility

Inefficiency

Groupthink

Diminished motivation

Structural disruption

Excessive workloads

Page 22: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 22

Characteristics Characteristics of Effective Teamsof Effective Teams

• Appropriate size and structure

• Clear sense of purpose

• Open honest communication

• Creative thinking

• Focused efforts

• Decision by consensus

Page 23: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 23

Five Stages of Team Five Stages of Team DevelopmentDevelopment

• Forming

• Storming

• Norming

• Performing

• Adjourning

Page 24: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 24

Level of CohesivenessLevel of Cohesiveness

• Competition

– Meeting attendance

– Team interaction

• Evaluation

– Work quality

– Goal Achievement

Page 25: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 25

Emergence of NormsEmergence of Norms

• Standards of conduct

– Set limits

– Identify values

• Acceptable behavior

– Clarify expectations

– Facilitate survival

Page 26: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 26

Team ConflictTeam Conflict

• Competition for scarce resources

• Responsibility issues

• Poor communication

• Values, attitudes, and personalities

• Authority issues

• Goal incompatibility

Page 27: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 27

Dealing With ConflictDealing With Conflict

• Resolution– Avoidance– Confrontation– Diffusion

• Prevention– Clear goals– Well-defined tasks– Open communication

Page 28: © Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together: Organization and Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 28

Team MeetingsTeam Meetings

• Clarify the purpose

• Select participants

• Clarify and focus on the agenda

• Follow the rules

• Promote participation

• Close effectively